The Rise of Co-Ownership in Canadian Real Estate

Friends and family are teaming up to break into the market — but not without risks

With home prices still high and mortgage qualification tougher than ever, a growing number of Canadians are choosing to buy homes together — as friends, siblings, or extended family.

This model, known as co-ownership, is no longer fringe. Mortgage brokers from Ontario to BC are reporting a notable uptick in joint applications, especially from first-time buyers in urban markets like Toronto, Vancouver, and Montreal.

“We’re seeing pairs of cousins, childhood friends, even co-workers teaming up to qualify,” says one Toronto mortgage advisor. “It’s often the only way they can afford to get into the market.”

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Why It’s Gaining Popularity

The math behind co-ownership is compelling. By pooling incomes:

• Buyers can qualify for a larger mortgage
• They can afford a bigger down payment, avoiding insurance premiums
• Monthly housing costs like taxes and utilities are shared, making it easier to budget

In expensive metros, this can be the difference between owning or renting for another decade.

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But There Are Risks

Co-owning property comes with serious legal and financial implications.

• What if one party wants to sell?
• What if someone loses their job — or stops paying?
• Who decides on renovations, tenants, or refinancing?

Experts strongly advise that buyers draft a co-ownership agreement with clear terms around exit strategies, financial contributions, and dispute resolution.

“If you wouldn’t open a joint credit card with someone, don’t buy a house with them,” warns a Vancouver real estate lawyer.

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✅ Mortgage.Expert Verdict

Co-ownership can be a creative, empowering way to buy your first home — but it’s not something to jump into casually. Get legal advice, plan for worst-case scenarios, and ensure all parties understand their rights and responsibilities.

If done right, it could unlock the door to homeownership in Canada’s toughest markets.